10 Steps to Buying a Home

1. Pre-qualification/Pre-approval

2. Why Choose a
Realtor?

3. Home Shopping

4. The Offer/ Earnest
Money

5. The Inspection

6. Insurance

7. Contingencies and
deadlines

8. Walk through

9. The Closing

10. Home Ownership!

1. Pre-Qualification/Pre-Approval

Pre-Qualification is a lenders initial evaluation of the borrower’s credit
worthiness. This is determined through estimating the amount a person can
afford to borrow. This is a simple evaluation of a borrower’s income versus
their expenses; setting guidelines for what that individual borrower will be
able to pay back to the lender.

Pre-Approval is a more detailed evaluation of a borrower’s
financials. The lender with check the borrower’s credit history, as well as,
verify the borrower’s income. Once this evaluation is complete the lender will
present the borrower with a pre-approval letter. This letter gives the
borrower’s the ability to search for a home within their pre-determined budget,
knowing that they have already been pre-approved up to a certain amount.

This is the essential first step in the buying process. Once
the borrower has been pre-qualified and pre-approved, they have the luxury of
searching for homes with the confidence that they will be able to make an offer
within their pre-determined budget, without the worry of being denied by a
lender.

2. Why Choose a
Realtor?

Realtors® are members of the National Association of Realtors®. They are held to the
highest of standards through the National Association of Realtors® code of ethics. Realtors® are expected to have a high level
of knowledge of the real estate industry. They are experts in finding homes
that fit the buyer’s needs, negotiation, and the closing process. When selecting a Realtor®, find someone with a thorough
knowledge of the local market, and someone that you trust to represent your
best interest.

WK Real Estate has over 70 Realtors®, with an average of 17 years
in the real estate industry. The Realtors® specialize in residential, commercial, raw land, new
construction, mountain, farm, and ranch properties. Many of the WK
Realtors® dedicate their
time on the boards of the Colorado Association of Realtors, Boulder Area
Realtor Association, and the Longmont Association of Realtors; some have even
served as president of these boards.

3. Home Shopping

The home buying process can seem overwhelming.
With the help of your WK Realtor®this process can be simple and enjoyable. Today 90
percent of people look for homes online. These online resources supply photos,
property details, community information, and much more. These features give you
and your Realtor® the ability to narrow down your search.
Once you have decided which homes you want to visit, your Realtor®
can schedule ®
can schedule showings for those properties. Your agent will guide you through
all significant considerations when viewing a home including price evaluation,
possible repairs that will be required before purchase, HOA information, and
important neighborhood considerations.

4. The Offer/ Earnest
Money

Making an offer is the next step in purchasing
the perfect home. Your WK Realtor® will help
you determine market trends and examine comparable sales, to write the most
reasonable offer. When the offer has been submitted to the seller there are
three possible responses: accept, reject, or a counter offer. A counter offer
means that they are offering the buyer a different price or other possible
changes to the contract. The offer should include:

- How you are intending to finance
your purchase.

- What repairs need to be done
before move-in.

- Contingencies (contract
cancellation without repercussions).

- The date you want to take
possession of the home.

- What fixtures you want included in
the purchase.

- Once the offer is accepted the earnest money can be
deposited. Earnest money is a good faith deposit to secure the contract.

5. The Inspection

A home
inspection is not an appraisal or a 'pass-fail' test. It is instead a visual
examination of the physical condition of the home. It should be performed by a
licensed property inspector. A home inspection could be the single-most
important process in buying a new home, as it ensures that the house is safe,
secure, and problem free. Knowing that the home you are about to move into is
all of those, can put your mind at ease or if problems do arise in the
inspection, it gives you the power to negotiate a lower price or ask the seller
to make repairs.

6. Insurance

Title insurance
and Home Insurance must be purchases before a mortgage company will make a loan
for the property. To make this step is as simple as possible; contact your
WK Realtor® for further details on
insurance requirements.

7. Contingencies and Deadlines

A contingency is a provision in a real estate contract
that specifies, if certain situations arise the buyer can get out of the
contract without repercussions. These contingencies may include: a failed home
inspection or the buyers are unable to obtain a loan if they were not
pre-approved. Your WK Realtor® will make
sure to cover all contingencies and will ensure you meet all of the deadlines
specified in the contract.

8. Walk Through

This is the
final walk through, after the home inspection has been completed, and all
repairs have been done. The walk through is to ensure that the home is in the
condition agreed upon in the contract.

9. The Closing

Your Wright
Kingdom Realtor®
will walk you through every step of the closing process to ensure that
everything runs smoothly. The buyer will present the check to be transferred to
the seller, the seller will sign over the deed, the title company will register
the new deed with the registry office, and the buyer will become a new home
owner.

10. Home Ownership

The process is complete and it is time to move into your
new home. We hope that your WK Real Estate experience was
enjoyable, and we look forward to hearing from you with any of your real estate
needs.